This is a rush transcript from "Hannity," May 3, 2012. This copy may not be in its final form and may be updated.

SEAN HANNITY, HOST: My next guest, an "Occupy Wall Street" organizer, says that the left-wing fringe group has a tall and radical order ahead of them.

Harrison Schultz was asked on May Day about his organization's motives. Let's listen to what he had to say.

(BEGIN VIDEO CLIP, MSNBC, MAY 1)

HARRISON SCHULTZ, "OCCUPY" PARTICIPANT: We never left. We were just tired. I mean, anarchy isn't easy. This is a lot of work. We had to hibernate for awhile, but today we are resurging. The energy is really good out in the streets.

The problem here is capitalism. That's what needs to change. That's what is failing all of these people. I personally don't care about this election. I know other people are working on it.

But I am looking at far, far more radical alternatives than political alternatives. I would like to actually see a new form of politics entirely.

(END VIDEO CLIP)

HANNITY: So anarchy is not easy and more radical alternatives are being explored. Well, from the look of these new pictures from May Day, well, they seem to be pretty radical alternatives to me.

Now the protest quickly turned into a violent and dangerous scene of smashing store windows, attacking police, defacing bank and store fronts.

Joining me now to explain what the motives of this group really are, "Occupy Wall Street" organizer, Harrison Schultz. Thanks for being here.

SCHULTZ: Thanks for having me, Sean.

HANNITY: Appreciate it.

SCHULTZ: Let me start by saying, thank you for letting a dirty hippie come in and explain his views --

HANNITY: You're dirty? You don't take a shower?

SCHULTZ: Well, no, this is the way your news network is portraying us.

HANNITY: Did I ever say you are dirty or a hippie? Did I say any of that?

SCHULTZ: Yes, in August. You were making fun of my friends.

HANNITY: You mean the ones having sex in public, doing drugs and defecating on cars and those who are in other cities that were actually being violent breaking store windows, cursing out police and all of that? You mean those guys, those guys? Because I have tapes of all of that.

SCHULTZ: No, no, no. Those were the people that the NYPD was sending to the park to discredit us and make us look bad. And actually give your network something to focus on.

HANNITY: So you are in Zuccotti Park.

SCHULTZ: I stopped hanging out right around the NYPD --

HANNITY: Zuccotti Park, "yes" or "no." Were you at Zuccotti Park?

SCHULTZ: Yes.

HANNITY: Why did they have set up a special, protective rape-free zone tent because of the rapes that took place in Zuccotti Park.

SCHULTZ: The NYPD was sending rapists down to the park.

HANNITY: So the NYPD -- do you have any evidence about this?

SCHULTZ: This was in the NY Times, New York Times.

HANNITY: I asked you a question -- the New York Times said that the police sent rapists to rape women down there?

SCHULTZ: They sent alcoholics. They sent offenders. They sent people who were convicted of rapes.

HANNITY: Do you have any evidence to back it up --

SCHULTZ: I can give testimony. I didn't bring my files with me, but you can check this out --

HANNITY: The New York Police Department brought rapists in and as a result women were raped so a special rape protective zone was set up?

SCHULTZ: You got to admit, it was a really cynical, really effective tactic on the part of the authorities. They knew that we wouldn't turn people away because we like to help people, like Christians should -- even though most of us are not Christian.

HANNITY: You sound paranoid.

SCHULTZ: They definitely exploited a lot of our values and turned it against us and sent people that we tried to help --

HANNITY: What about the violence that took place in other cities and the broken store windows and the sex in public and drug use in public and defecating on a police car, was that a police conspiracy too?

SCHULTZ: I don't think there is anything particularly radical --

HANNITY: About taking a on a car?

SCHULTZ: That's very cliché, that's very ineffective --

HANNITY: Things in public happened, sex in public happened, rape in Zuccotti Park happened.

SCHULTZ: These things are not cool. I denounce those things as well. These things are beyond not cool.

HANNITY: I have a handbook here. 'Anarchists Basics,' have you seen this?

SCHULTZ: No. I've never seen that.

HANNITY: In the back of this book, it has a link to a web site, bombs and shields. Ever been to that web site?

SCHULTZ: Never been to that site.

HANNITY: What is your problem with capitalism, what is your problem with the free market -- how old are you?

SCHULTZ: I'm 29, sir.

HANNITY: Do you have a job?

SCHULTZ: How old are you?

HANNITY: I'm 50. I look younger.

SCHULTZ: Yes, you do. You look good.

HANNITY: Thank you very much. I appreciate that coming from an "Occupy Wall Street" guy. Here's -- 29 years old, you have a job?

SCHULTZ: I did. I was laid off.

HANNITY: What was your job?

SCHULTZ: I was a business intelligence analyst for a marketing company, before I was doing data analysis for an advertising agency.

HANNITY: I don't need your life story. How do you make money?

SCHULTZ: You looked me up on my resume on LinkedIn. So you probably know this.

HANNITY: How do you make money today?

SCHULTZ: Right now, I am living off student loans.

HANNITY: Aren't student loans meant for college?

SCHULTZ: Grad school.

HANNITY: Do you go to college?

SCHULTZ: I go to grad school.

HANNITY: OK, you go to grad school, so that also provides money for housing. You have a place to live?

SCHULTZ: It's all private loans. They give me the money and that covers my living expenses.

HANNITY: Who gives you the money?

SCHULTZ: Access Group, U.S. federal loans. I forget.

HANNITY: All right, I looked at definition that they have and what an anarchist is.

SCHULTZ: You keep changing the subject -- we talking about loans or anarchy? I would like to keep talking about my problems with capitalism, personally. I would like to talk about my solutions, too.

HANNITY: Do you want to post your own show? You can go to work at MSNBC.

SCHULTZ: I would like to host my own show! That's what the up on movement is about, it's about getting people to start hosting their own shows so they stop listening to people like you.

HANNITY: Oh, this hurts!

SCHULTZ: We don't need you anymore.

HANNITY: You don't need me anymore?

SCHULTZ: Did you check the New York Times? TV viewership is actually on the decline -- two years in a row, on the way out --

HANNITY: Actually, I hate to tell you something, but this channel has been number one for 12 years. Number one in this slot, over a decade. Obviously, you don't -- the New York Times is all you read, you don't have good information.

SCHULTZ: No, no. I don't have a TV, which is why I have never seen your show until today.

HANNITY: What do you know about me and my show and my thoughts on capitalism?

SCHULTZ: I don't think you really have any. I think you are just here to argue and create sensationalism. I don't really think there is any concept behind this --

HANNITY: Are you going to defend the rapes and you're going to blame the police --

SCHULTZ: I am not defending. I am telling you where this is coming from.

HANNITY: You said the police department of New York City brought in rapists so they could blame 'Occupy' people. You deny the violence --

SCHULTZ: They sent vagrants. They sent alcoholics --

HANNITY: And taking a on a police car. You don't work, you go to school. Fair enough.

SCHULTZ: I am broke.

HANNITY: What's wrong with capitalism, what?!

SCHULTZ: Actually -- I am going to start looking for a new job.

HANNITY: Tell us.

SCHULTZ: What's wrong with capitalism? The fact that people are -- the fact that unemployment is 8 percent, twice that, 16 percent.

HANNITY: That's right.

SCHULTZ: For people my age within my age group, and the opportunities are not there to pay off this $100 trillion debt that we have been -- jobs that don't exist anymore.

HANNITY: Are you against big business?

SCHULTZ: No. Not necessarily.

HANNITY: Because I saw a lot of kids at Zuccotti Park --

SCHULTZ: I have worked for big business.

HANNITY: I saw a lot of Macs and computers and iPhones and stuff --

SCHULTZ: Now we're getting into an intelligent discussion.

HANNITY: Here's what I view as capitalism. You create goods or services that people want, need and desire, right? People choose to buy their computers, choose to buy their iPhone, choose to go to Starbucks. They choose to hire somebody, right, isn't that capitalism?

SCHULTZ: You know what? "Occupy Wall Street" actually fits in with that model in a strange way because people are consuming the content that we are producing. They're consuming the things that we have to say about networks like this.

HANNITY: So what's wrong with capitalism as I described it.

SCHULTZ: Well, it is not working anymore.

HANNITY: Why is it not working?

SCHULTZ: I just told you. It is completely failing people such as myself. I just told you --

HANNITY: Well, maybe -- how many hours did you spend down at "Occupy Wall Street"? How many days, hours, weeks did you spend there?

SCHULTZ: I couldn't --

HANNITY: Well, maybe if you weren't spending your time with the quote, "homeless people" who were brought in by the police to rape people, maybe you could have been out looking for a job?

SCHULTZ: Well, I am actually starting looking for a job now --

HANNITY: You are.

SCHULTZ: My funding is certainly running low.

HANNITY: Where does the funding come from, the school or the government?

HANNITY: I guess so, you don't even know. So people give you money to pay for your school and you have no idea. Where do you think it comes from?

SCHULTZ: They charge interest back on it.

HANNITY: You expect a loan for free? Should you have free school, free college?

SCHULTZ: People should have free education.

HANNITY: And free health care?

SCHULTZ: Absolutely.

HANNITY: And free dental care?

SCHULTZ: Yes, I could use some free dental care.

HANNITY: And if you have children and you need day care, should the government give you day care?

SCHULTZ: Yes!

HANNITY: And the government should give you a house to live in?

SCHULZ: What are you trying to lure me into right now?

HANNITY: Should the government give you a house? Give you transportation to get to work?

SCHULTZ: Yes, basic necessities such as these things shouldn't even be given to us by the government. The government and corporations should get off our backs, stop enslaving us through debt, so we can actually do those things that you just said.

HANNITY: Who is going to pay for your house, car, dental care, health care, education, who pays for that?

SCHULTZ: Nobody! It's all (INAUDIBLE). Nobody's paying for it.

HANNITY: Everything's free.

SCHULTZ: We are getting to that point. That's exactly where capitalism is heading seriously --

HANNITY: Everything is free!

SCHULTZ: Seriously, this is crazy.

HANNITY: You don't work. You get free money for school and you are complaining and whining --

SCHULTZ: Companies like Google, the most successful companies, they give away their products for and services for free, right? So people like us, we spend all of our time working on these social networks, providing content on social networks that they sell for ad space, we work.

HANNITY: I have a suggestion for you --

SCHULTZ: Goods and services, capitalism is becoming increasingly free. My suggestion to you is you should listen because I am telling you some pretty futuristic crazy stuff right now.

HANNITY: I don't need your suggestions. I have a suggestion for you. You are 29 years old. Stop wasting your time at "Occupy Wall Street." Here's a novel concept, get up at 6:00 a.m., shovel some coffee down your throat. Hit the pavement, find a job, get to work, stop whining, stop complaining, stop blaming and get your out of bed like everybody else in America and get to work. How does that sound?

SCHULTZ: I'm down. Give me a job. I will go to work.

HANNITY: If you pound the pavement and stop hanging out at the Zuccotti Park, you might find one!

SCHULTZ: I am online all day, sending my resume out -- you found me on LinkedIn, too.

HANNITY: Go work as a cook, go work as a dish washer, go work as a contractor. Go do something --

SCHULTZ: Something more menial? Would that make you happier?

HANNITY: Listen, I did it in my life and guess what?

SCHULTZ: I have done it too.

HANNITY: Then keep doing it! Go get a job. You don't want to do that, that job is beneath you?

SCHULTZ: Definitely.

HANNITY: Hanging out with rapists, drug addicts, people having sex in public is more fun.

SCHULTZ: It's more dignity in that than it is hanging out on a show like this with you.

HANNITY: OK, listen, I'm glad to say goodbye. See you later.

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